Internal Revenue Service - IRS


DEFINITION of 'Internal Revenue Service - IRS'

A United States government agency that is responsible for the collection and enforcement of taxes. The IRS was established in 1862 by President Lincoln and operates under the authority of the United States Department of the Treasury. It is primarily engaged in the collection of individual income taxes and employment taxes, but also handles corporate, gift, excise and estate taxes.

The IRS is sometimes referred to as the "tax man."

BREAKING DOWN 'Internal Revenue Service - IRS'

The IRS is headquartered in Washington, D.C. It is an expansive organization that services the taxation of all Americans. In 2006, the IRS processed about 133 million personal income tax returns and almost six million corporate income tax returns, bringing in trillions of dollars of tax revenue.

  1. Audit

    An unbiased examination and evaluation of the financial statements ...
  2. Substitute Return

    A tax filing that the IRS will create for a taxpayer in order ...
  3. Internal Revenue Code - IRC

    The comprehensive set of tax laws created by the Internat Revenue ...
  4. Federal Unemployment Tax Act - ...

    The original legislation that allows the federal government to ...
  5. Revenue Act Of 1862

    This act increased taxes and implemented the first federal income ...
  6. Excise Tax

    1. An indirect tax charged on the sale of a particular good. ...
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